Jan-18-18 Unemployment Rate Edges Lower to 5.0 PercentEmployment Down in December

TRENTON, January 18, 2018 – Preliminary monthly estimates released by the United States Bureau of Labor Statistics (BLS) indicate that New Jersey total nonfarm employment decreased by 11,400 jobs in December, to a seasonally adjusted total of 4,126,600, as the state’s unemployment rate edged down by 0.1 percentage point to 5.0 percent.

A preliminary over-the-year analysis shows that from December 2016 – December 2017, employment in New Jersey was higher by 22,900 jobs, with all the gains recorded by private sector employers (+26,700). Public sector employment was lower by 3,800 jobs over the year. Moreover, 2017 marks the eighth consecutive year that New Jersey has recorded private sector job growth. Since February 2010 (the recessionary low point for private sector employment), New Jersey’s private sector employers have added 325,200 jobs.

Based on more complete reporting from employers, previously released total nonfarm employment estimates for November were revised higher by 1,300 jobs to show an over-the-month (October – November) gain of 7,700 jobs.

In December, employment decreases were recorded in six of nine major private industry sectors. Industries that registered employment losses included trade, transportation and utilities (-6,100), construction (-4,300), education and health services (-2,100), financial activities (-1,800), information (-1,100), and other services (-500). Employment increased in the leisure and hospitality (+2,800), manufacturing (+1,900), and professional and business services (+1,300) industry sectors. Over the month, public sector employment was lower by 1,400 jobs.

Benchmarked data from the U.S. Bureau of Labor Statistics, which will present a more complete picture of the New Jersey economy for the entire calendar year of 2017, will be released on March 12, 2018.

Technical Notes: Estimates of industry employment and unemployment levels are arrived at through the use of two different monthly surveys.

Industry employment data are derived through the Current Employment Statistics (CES) survey, a monthly survey of approximately 4,000 business establishments conducted by the U.S. Bureau of Labor Statistics (BLS) of the U.S. Department of Labor, which provides estimates of employment, hours, and earnings data broken down by industry for the nation as a whole, all states and most major metropolitan areas (often referred to as the “establishment” survey).

Resident employment and unemployment data are mainly derived from the New Jersey portion of the national Current Population Survey (CPS), a household survey conducted each month by the U.S. Census Bureau under contract with BLS, which provides input to the Local Area Unemployment Statistics (LAUS) program (often referred to as the “household” survey).

Both industry and household estimates are revised each month based on additional information from updated survey reports compiled by BLS. In addition, these estimates are benchmarked (revised) annually based on actual counts from New Jersey’s Unemployment Compensation Law administrative records and more complete data from all New Jersey employers.

The New Jersey Department of Labor and Workforce Development is an equal employment opportunity employer and provides equal opportunity programs.
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